Nintendo misses profit forecast as Wii U fades away – The Verge
Nintendo’s latest earnings show a company stranded between old consoles and new. Sales of the Wii U and the handheld 3DS continue to taper off as expected, but the next big thing from Nintendo — the NX console — won’t arrive until March 2017.
For the fiscal year ending March 31st, Nintendo’s operating profit was ¥32.8 billion or $295 million from ¥504 billion revenue. This operating profit missed the company’s forecast of ¥50 billion, but was a slight boost on last year’s figure (¥24 billion) and marks the company’s second consecutive year of profit after much trickier times.
The company updated its total lifetime sales figure for the Wii U to 12.8 million, meaning the company sold only 200,000 units of the console in the last three months. The Wii U’s sales figures compare unfavorably to both Sony’s PlayStation 4 (36 million units sold) and Microsoft’s Xbox One (estimated 19 million sold). No one was expecting the Wii U to rally over this time, but the figures highlight again how much ground Nintendo has lost to its rivals.
During the earnings call, the company outlined some of the releases it hopes will restore its fortunes. These include the mysterious NX console, and two new smartphone titles — fan-favorites Animal Crossing and Fire Emblem. The company also noted that one of its most anticipated titles, the next entry in the Legend of Zelda series, will be delayed until March next year.
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